UK financial instutions may help CSE revive: London Mayor

Kolkata, May 23 (UNI) UK-based financial institutions are likely to help rejuvenate Calcutta Stock Exchange, one of the oldest brouses in Asia, Mayor of London John Stuttard said here today.

Speaking on the sidelines of a programme entitled, "UK&India: Partners of Progress," Mr Stuttard said, ''CSE should be rejuvenated and foreign funds can be infused if there is right framework.'' ''UK based financial institutions can provide capital and skill for the CSE revival. I have discussed the matter with Chief Minister Buddhadeb Bhattacharjee and Commerce and Industry Minister Nirupam Sen,'' he said.

State Commerce and Industry Minister Nirupam Sen said the government had held talks with various financial institutions today to make the city a financial hub.

When asked whether London Stock Exchange (LSE) had held talks with the state government about picking stake in CSE, LSE Manager(India and International Business Development) Ibukun Adebayo said, ''We are intersted to pick up strategic stake in various global exchanges. If there is a right deal, scalability and price, we can think of picking up strategic stake even in CSE, if necessary.'' ''Indian market has strategic inmportance and we are keen to enter Indian market,'' Mr Adebayo said.

Demutualisation process of BSE is already on. The Bombay Stock Exchange (BSE) and Allahabad Bank are among five organisations interested in picking up stake in Calcutta Stock Exchange (CSE) as part of its demutualisation exercise.

The CSE has so far received only one valid EoI and four letters for a stake in the divestment process.

According to SEBI's demutualisation norms, no entity can take more than five per cent stake in a stock exchange. The CSE has time till August to complete the process by selling 51 per cent stake of the member brokers.

UNI